Albeit a minor break in December last year, FBMKLCI has consistently remained above the line connecting the lows since 2010
Chart 1: FBMKLCI's weekly chart as at Mar 18, 2019(Source: Malaysiastock.biz)
FBMKLCI is in an intermediate downtrend line, RR. This downtrend line
and the line connecting the lows since 2010 (as shown in the weekly
chart above) are about to converge, thus providing us with the answer to
the perennial question: What's next?! Shall it be an upside breakout or
a downside breakout or more of the same sideways movement? Looking at
the weak ADX in the DMI, I will not be surprised that we may see more
sideways movement ahead.
Chart 2: FBMKLCI's daily chart as at Mar 18, 2019(Source: Malaysiastock.biz)
Notwithstanding this lackadaisical market outlook provided by the
FBMKLCI, our market will still serve up regular bouts of rotational play
depending on the flavor of the market players. January was the month
for construction stocks. February & March have been kind to O&G
stocks. Will building material and property stocks be the next hot
things? We will have to wait & see.
http://nexttrade.blogspot.com/2019/03/market-outlook-as-at-march-19-2019.html
http://nexttrade.blogspot.com/2019/03/market-outlook-as-at-march-19-2019.html
